After the U.S. came out out of the last recession, banks remained hesitant to lend to small businesses. The number of government guaranteed loans dropped by 32 percent between 2008 and 2009, according to Bankrate. Not all banks, however, are clamping down on their business lending, and you can get one if you prove you are trustworthy and capable of running a successful business.

Considerations

From the bank's perspective, business loans are very risky to underwrite, especially during sluggish economic times. During 2004, small business loans defaulted at a rate of 2.4 percent. This went up to 11.9 percent during the height of the recession in 2009, according to CNN Money. In some areas of the country, small business loan default rates were close to 30 percent.

Small Business Administration Loans

The federal government contracts with commercial lenders to guarantee business loans and make them more attractive to banks. SBA loans are extremely popular with lenders and borrowers. In 2010, for example, the SBA backed 54,833 loans worth over $22 billion. The SBA made business loans even more attractive to lenders by reducing administrative fees and increasing the guarantee rate to 90 percent.

Types

Traditional banks also offer revolving and line-of-credit loans. Revolving loans let the borrower use the credit for as long as he needs -- assuming he pays off the balance. This type of loan functions like a consumer credit card. Line-of-credit loans are intended for short-term use only and work on an as-needed basis. You can use this to pay for day-to-day operating costs, but not for purchasing assets like equipment for your start-up.

Micro-loans

Consider a micro-loan if your business needs less than $35,000 to get off the ground. Because commercial micro-lenders generally rely on charities and donations for their capital, they are more willing to take a chance on business start-ups. Commercial micro-loans, however, generally charge an interest rate 5 to 10 percent higher than that of SBA-backed micro-loans.

Tip

You can get a bank loan, but you must have more than a creative idea -- you need substantial evidence that you can pay back your loant. Put up as much collateral as possible, such as stock and real estate and have a plan that shows the lender why and how your company will make a profit. For a small business, your personal credit and experience plays a much more vital role than your business plan.